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Education-law groups urge pause, stronger privacy protections for FAFSA-waiver pilot in New Jersey

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Summary

Education Law Center and other advocates asked the Assembly committee to pause or amend the pilot program that uses FAFSA completion status in graduation-related reporting, citing federal workforce reductions, data-privacy concerns and uneven district implementation.

An attorney for the Education Law Center asked the Assembly Education Committee to pause implementation of a New Jersey pilot program that links FAFSA completion and a waiver form to state reporting and, in some cases, graduation processes.

Elizabeth Athos, an attorney at Education Law Center, told the committee that disruptions at the U.S. Department of Education and reductions in federal staff have already hindered FAFSA processing and that data-privacy concerns increase the risk that students could suffer unintended harms if a pilot is implemented too quickly. She said Louisiana repealed a similar law last year amid privacy concerns and urged the committee to delay rolling out the program for students graduating in 2025 and to strengthen state privacy protections.

Athos said guidance from the Department of Education has been limited and that some school districts are unsure how to document waiver completion for graduating seniors in time for graduation. “We don’t think the amendments go far enough,” she said, recommending explicit protections tying any state reporting to informed consent or a court order and better alignment with FERPA and other privacy laws.

Committee members and the chair noted the immediate committee vote concerned a form amendment to strengthen privacy protections on the waiver itself; they acknowledged broader FAFSA and federal concerns and said those larger policy questions remain under consideration.

The committee proceeded to consider the form amendment. Testimony from school boards and education associations filed slips in favor of the committee amendment, and the committee moved to release the bill with amendments for further consideration.